Contents

Types of
banking

Commercial bank is the term used for a normal bank to
distinguish it from an investment bank. (After the great
depression, the U.S. Congress required that banks only engage in
banking activities, whereas investment banks were limited to
capital markets activities. This separation is no longer
mandatory.)

Commercial bank can also refer to a bank or a division of a
bank that mostly deals with deposits and loans from corporations or
large businesses, as opposed to normal individual members of the
public (retail banking). It is the most successful department of
banking.